Osta Biotechnologies Inc.

Osta Biotechnologies Inc.

November 11, 2005 08:12 ET

Osta Biotechnologies Inc. Completes $150,000 Private Placement

MONTREAL, QUEBEC--(CCNMatthews - Nov. 11, 2005) - Osta Biotechnologies Inc. (TSX VENTURE:OBI) announces that it has completed a private placement in the amount of $150,000 by issuing a total of 375,000 common shares at a price of $0.40 per share. Each share was accompanied by one-half of a common share purchase warrant. Each full warrant entitles the holder thereof to acquire one additional common share of Osta at a price of $0.70 per share for a period of one year from the closing of the private placement.

The common shares and warrants were sold to a total of two investors in Quebec. Under applicable securities legislation and the policies of the TSX Venture Exchange, the common shares and warrants are subject to a hold period expiring on March 10, 2006.

As a result of the private placement, there are 28,305,219 outstanding common shares of Osta.

The proceeds from the private placement will be applied toward the furtherance of the Osta's research and development activities, as well as working capital and general corporate purposes.

Osta is a leading-edge biopharmaceutical company located in Montreal, Quebec, Canada. Osta's research and development programs are focused on developing novel diagnostic and therapeutic products for the aging population. The current focus of the corporation is on the development of a novel prognostic test for Osteoporosis, a novel diagnostic blood test for Alzheimer's Disease and novel therapeutics for Osteoporosis, Osteoarthritis and Alzheimer's Disease.

Certain information in this press release is forward-looking and is subject to numerous risks and uncertainties. By their nature, such forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements. These risks include actions of Osta's competitors, and those inherent in scientific research and development.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy for this release.

Contact Information

  • Osta Biotechnologies Inc.
    Mr. Alain Geahchan
    Director of Investor Relations
    (450) 781-1317
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